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Do not assume PayPal is not kicking back a % of donations to Twitch. PayPal does this for e-commerce platforms that make PayPal integrations easy. For some e-commerce platforms this hidden cut of PayPal's transaction is their largest revenue stream.

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They don't make it easy, broadcasters just add a link in their profile. There's no information transmitted to PayPal about the donation being for Twitch broadcasting. In fact a lot of broadcaster use third party tools, tools not made by Twitch or PayPal, for the donation system so that it updates in their stream and chat.

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